Methodology

Cost of Living Index

Our Cost of Living Index uses a weighted composite of housing costs and rental prices compared to the national average. The formula:

Overall Index = (Housing Index × 0.40) + (Rent Index × 0.30) + (Baseline × 0.30)
Where:
Housing Index = (City Median Home Value / National Median Home Value) × 100
Rent Index = (City Median Gross Rent / National Median Gross Rent) × 100
Baseline = 100 (placeholder for food, transport, etc. until more data available)

A score of 100 equals the national average. Below 100 is more affordable; above 100 is more expensive.

< 75 = Very Affordable
75–89 = Affordable
90–109 = Average
110–129 = Expensive
≥ 130 = Very Expensive

Mortgage Calculator

Our mortgage calculator uses the standard amortization formula:

M = P × [r(1+r)^n] / [(1+r)^n – 1]
Where:
P = Principal (home price - down payment)
r = Monthly interest rate (annual rate / 12)
n = Total payments (loan term in years × 12)

The total monthly payment adds: principal & interest, property tax (annual tax / 12), home insurance, PMI (if down payment < 20%), and HOA fees.

When accessed from a city page, the calculator is pre-filled with the local median home value and the state's effective property tax rate from the Tax Foundation.

Salary Equivalence

Salary equivalence is calculated by adjusting for the relative cost of living between two cities:

Equivalent Salary = Current Salary × (Target City Index / Origin City Index)

This tells you how much you'd need to earn in a new city to maintain the same purchasing power.

Data Freshness

Census ACS data is updated annually. Our current dataset uses the 2024 ACS 1-Year Estimates. Tax rates are sourced from the Tax Foundation's 2024 State Tax Data. Mortgage rates reference the FRED 30-Year Fixed Rate Mortgage Average (MORTGAGE30US).

Last data refresh: March 2026

Limitations

Our cost of living index currently weights housing and rent only. Future versions will incorporate grocery, transportation, healthcare, and utilities data.
Small cities (< 30,000 population) may have limited data points and are excluded from individual city pages to maintain quality.
Property tax estimates use state-level effective rates. Actual local rates may vary by county or district.
All calculations are estimates. Consult a financial advisor for decisions involving significant money.